Japan's policy on steel trade disputes with the United States: a comparative analysis

Abstract

This article examines interactions among the United States, Japan and the European Union over steel trade disputes with particular interest in Japan's reactions to the disputes. For this objective, this paper establishes an analytical framework that takes into account bilateral, international, and domestic factors in formulating a state's external policy and relations. It was found that the special relationship with the United States still impinged on Japan's reactions to steel trade disputes, but its influence has gradually declined. Moreover, growing familiarity with World Trade Organization (WTO) rules and practices and collaboration with other countries enabled Tokyo to expand its policy options to handle steel trade conflicts with Washington. Significantly, Japan formally adopted seemingly bold measures to cope with the US steel safeguard action, but the measures’ substantial influence on the US government was limited compared with those adopted by the European Union. Weak policy coordination among ministries prevented Japan from formulating strategic and effective measures in managing steel trade disputes with the United States.